Natural Gas
Natural Gas

Palembang, – President Joko Widodo (Jokowi) wanted the price of gas for the industry could fall to USD 6 per MMBtu. This price is considered most appropriate and will be able to boost the competitiveness of Indonesian industry, especially in Southeast Asia.

But apparently, the President Jokowi did not get the correct information about the price of the gas industry in neighboring countries such as Malaysia, Singapore and Thailand.

“Gas prices are a country can not same comparison. Suppose the price of gas in Singapore and Indonesia, or the price of gas in Malaysia to Indonesia,” said Energy Analyst from Reforminer Institute, Pri Agung Rakhmanto, Monday (10/10).

According to him, the price of gas in Malaysia is definitely lower because of government subsidies. Then to Singapore state also turned out through subsidized by the government of the country.

Agung describes the average of gas price in Singapore as of August 1 through October 31, 2016 including taxes which are sold to consumers reaches USD18,5 per MMBtu if not subsidized.

While gas prices in Malaysia because of the subsidies reaches USD6,6 per MMBtu. As in China the price of gas at USD 15 per MMBtu and in Thailand by USD 7,5 per MMBtu. While gas prices in Indonesia average USD9 per MMBtu.

“So please anyone who conveys information to the President Jokowi not piecemeal as if we are the highest gas prices,” said Agung.

But once, Agung also stated amid declining world oil prices rightly gas prices also decreased, but the realization of it can not be like turning the palm of the hand to fix prices.

Then he also warned that the government was not looking for a victim in the issue of the high price of gas, because a major role led to high gas prices is the government policy that not yet supporting instruments decline.


(Arbie Marwan)